A mortgage offset account can help reduce the interest you pay on your home loan. However, a recent ASIC review found that some Australian borrowers may be missing out on potential savings because their offset accounts were not properly opened, linked or maintained. ASIC reviewed eight major banks covering more than 70% of Australia’s home loan market and identified weaknesses in how some offset accounts were managed.

If you have a mortgage offset account, it is worth checking that it is correctly linked to your home loan and providing the interest savings you expect.

What Did ASIC Find About Mortgage Offset Accounts?

ASIC’s Report 837, Offsets, out of mind: Banks fall short on mortgage offset account promises, examined how eight banks set up, linked and managed mortgage offset accounts. The review covered 204,000 unique home loans and identified issues with how some banks:

• Recorded offset account requests
• Opened accounts
• Linked accounts to mortgages
• Monitored whether arrangements were working correctly

ASIC identified several types of offset account failures:

Issue	Percentage
Offset account opened but not linked to home loan	55%
Offset account requested but not opened	22%
Offset linked outside the timeframe communicated	14%
Other issues	9%

ASIC also found that some banks struggled to identify whether customers had actually requested an offset account. Some problems were only discovered after customer complaints or after ASIC began investigating.

How Does a Mortgage Offset Account Work?

A mortgage offset account is generally a transaction account linked to your home loan. The money held in the offset account reduces the portion of your mortgage balance used to calculate interest.

For example:

Assume you have:

• A $700,000 home loan
• $50,000 in your offset account

With a 100% offset facility, interest would generally be calculated as though your loan balance was:

$700,000 – $50,000 = $650,000

The $50,000 does not reduce the amount you owe on your mortgage. Instead, it reduces the amount used to calculate interest. This can help reduce total interest costs and may allow you to repay your mortgage sooner if your repayments remain unchanged.

Why Is Checking Your Offset Account Important?

The biggest issue is that your mortgage repayment may continue normally even if your offset account is not working correctly. This means you could continue making repayments while paying more interest than expected.

ASIC provided an example involving a couple with:

• A $750,000 mortgage
• $50,000 in their offset account

If the offset account was not linked correctly, ASIC estimated they could pay more than $3,000 in additional interest over one year. If the problem continued for the life of the loan, missed savings could potentially approach $230,000 and add four years to the mortgage term.

How to Check If Your Mortgage Offset Account Is Working

Check That Your Offset Account Is Linked

Log into your bank’s app or online banking and review your home loan details. Confirm that your offset account is clearly shown as linked to the correct mortgage. Do not assume that requesting an offset account means it was automatically connected. Always check that the account has been properly established and linked.

Check Your Interest Savings

Review:

• Recent home loan statements
• Transaction history
• Interest charges

If you have a significant amount sitting in your offset account but cannot see evidence that it is reducing your interest calculation, contact your lender.

Understand What Type of Offset Account You Have

Not all offset accounts work the same way.

Some mortgages offer:

• 100% offset accounts
• Partial offset accounts

With a 100% offset account, every dollar generally reduces the loan balance used to calculate interest by one dollar. A partial offset account may only provide benefits on a percentage of the balance. Review your loan documents so you understand exactly what type of offset facility you have.

Check Your Offset Account After Refinancing

This is especially important if you have recently:

• Refinanced
• Changed lenders
• Changed loan products

Changing your mortgage arrangement can result in your offset account becoming disconnected from your home loan. Do not assume an existing offset account will automatically transfer to a new loan. Always confirm that your offset account is still linked and working after refinancing.

Review Your Home Loan Statements Regularly

Many homeowners ignore mortgage statements once repayments are automated. However, reviewing statements can help identify issues early.

Check:

• Outstanding loan balance
• Interest charged
• Offset account balance
• Account fees
• Changes to loan products or interest rates

What If Your Offset Account Was Not Working?

If you discover that your offset account was not properly linked or was not operating as expected, contact your bank. Ask the lender to investigate:

• When the offset account was opened
• When it was linked to your mortgage
• Whether it was disconnected
• Why it was not working
• Whether additional interest was charged
• Whether compensation may apply

ASIC reported that banks had already paid more than $55 million in customer compensation for offset account failures reported between September 2023 and August 2025.

What Can Cause an Offset Account to Stop Working?

Problems can occur during:

• Initial setup
• Account linking
• Ongoing account management

One common trigger is changing your home loan. Refinancing, switching loan products or restructuring your mortgage can affect the connection between your loan and offset account. Always check your offset account after:

• Refinancing
• Changing lenders
• Changing loan products
• Consolidating loans
• Restructuring your mortgage
• Opening a new offset account

Don’t Assume Your Offset Account Is Free

A mortgage offset account can save interest, but it is not always the cheapest home loan option.

Some lenders charge:

• Higher interest rates
• Package fees
• Offset account fees

An offset account may not provide value if:

• You keep only a small balance
• The loan has significantly higher fees
• The interest rate is higher than comparable loans without an offset

Before choosing an offset mortgage, compare:

• Interest rate
• Annual fees
• Package fees
• Offset account fees
• Expected offset balance
• Redraw facility options

Mortgage Offset Account vs Redraw Facility

Both options can help reduce mortgage interest, but they work differently.

Offset Account

• Linked to your home loan
• Balance reduces the amount used to calculate interest
• Money generally remains accessible

Redraw Facility

• Extra repayments are made directly against your mortgage
• Access depends on lender rules

Neither option is automatically better.

The right choice depends on:

• Your circumstances
• Loan features
• Access requirements

Common Mortgage Offset Account Mistakes

Avoid these common mistakes:

Assuming Your Offset Account Was Linked

Always confirm the account is connected to the correct mortgage.

Forgetting After Refinancing

Check your offset account after changing lenders or loan products.

Using the Wrong Account

Only money held in the linked offset account reduces mortgage interest.

Ignoring Statements

Regularly review interest charges and loan balances.

Overlooking Fees

Understand whether you have a 100% or partial offset account and what fees apply.

What Does ASIC Recommend?

ASIC recommends homeowners ensure their offset account:

• Has been set up correctly
• Is linked to the correct home loan
• Is providing expected interest savings

If you cannot confirm this through your bank app or statements, contact your lender.

Final Thoughts

Having a mortgage offset account does not automatically guarantee that you are saving money. ASIC’s review highlights the importance of checking that your offset account is:

• Correctly opened
• Properly linked
• Delivering the expected interest savings

A quick review of your account could help prevent unnecessary interest costs.

Frequently Asked Questions

What is a mortgage offset account?

A mortgage offset account is a transaction account linked to a home loan. The balance reduces the amount of the mortgage on which interest is calculated.

Why is ASIC warning homeowners about offset accounts?

ASIC found weaknesses in how some banks set up, linked and managed offset accounts, causing some customers to pay more interest than expected.

How do I know if my offset account is working?

Check your banking app, online banking or statements to confirm the offset is linked correctly and reducing your interest charges.

Can refinancing affect my offset account?

Yes. Refinancing or changing loan products can result in an offset account becoming disconnected from the mortgage.

Is a 100% offset account better?

A 100% offset generally provides a greater interest benefit because the full balance offsets the home loan. However, interest rates and fees should also be considered.

Can I receive compensation if my offset account was not working?

Potentially. If a bank failed to provide the offset arrangement promised and you suffered financial loss, contact your lender and request an investigation.

How Can We Help?

If you have any questions or would like further information, please contact Camden Professionals on:

Phone: 08 9221 5522
Email: info@camdenprofessionals.com.au

You can also arrange a meeting so we can discuss your requirements in more detail.

General Information Disclaimer

The material on this page and on this website has been prepared for general information purposes only and not as specific advice to any person. Any advice contained on this page and on this website is General Advice and does not consider any person’s particular investment objectives, financial situation and particular needs.

Before making an investment decision based on this advice you should consider, with or without the assistance of a securities adviser, whether it is appropriate to your particular investment needs, objectives and financial circumstances. In addition, the examples provided on this page and on this website are for illustrative purposes only.

Although every effort has been made to verify the accuracy of the information contained on this page and on this website, Camden Professionals and/or Investax Group, its officers, representatives, employees, and agents disclaim all liability (except for any liability which by law cannot be excluded), for any error, inaccuracy in, or omission from the information contained in this website or any loss or damage suffered by any person directly or indirectly through relying on this information.

A testamentary trust is a trust created by a Will.  It is generally a discretionary trust – one where the Trustee has full discretion about who benefits, and to what extent, under the trust.

Why would I use a Testamentary Trust?

Testamentary trusts can make sure the inheritance reaches the intended recipients.  An independent trustee can guarantee that vulnerable beneficiaries, such as very young children or the ill, incapacitated, unstable or disabled, will be provided for. Properly drafted, trusts can also guard against the often-divisive aftermath of divorce, and ensure that in the event of remarriage, assets will be passed on to the children or grandchildren of the testator.

Testamentary trusts are also a wise precaution if the beneficiaries may face legal action or bankruptcy, such as those in professions frequently subject to litigation, or high-risk business.  This form of protection is often referred to as Asset Protection.

Can a Will-Maker Restrict the Terms of a Testamentary Trust?

The terms of testamentary trusts are contained in the Will.   They can include restrictions on any or all of the beneficiaries or conversely, grant them extensive control. In effect, these can enable you as the Will-maker, or testator, to rule from the grave.  It is up to the testator whether they vest control in the beneficiaries or in the hands of an independent trustee.  Giving control to the beneficiaries allows a greater degree of flexibility; but a managerial trustee may be better if the beneficiaries are not able to control their own finances.

How do Testamentary Trusts Work?

Testamentary trusts are drafted to mimic the operation of a discretionary trust such as a family trust: the testamentary trust will have a broad range of discretionary beneficiaries, usually the members of an extended family.

The trustee of the testamentary trust selects from the class of beneficiaries which person or people who will receive a gift of trust income or trust capital. Until the trustee elects to distribute to a beneficiary, no person has a vested interest in the assets of the trust.

Careful drafting of the testamentary trust will ensure that the beneficiary selected, who becomes a beneficiary, only has an interest in the trust to the extent that the trustee has determined. The trustee of the testamentary trust may be the executor of the deceased estate or may be some other person, who will be appointed by the Will or pursuant to a formula contained in the Will.

Often the trustee will be the person to whom the Willmaker, but for the testamentary trust, would bequeath their assets or a good part of them.

Difference of Standard Will and Testamentary Trust Will

A Standard Will, in its simplest form, is a testamentary document confirming choice of executors, beneficiaries and testamentary wishes regarding the distribution of their estate. It does not, however, offer any asset protection or tax minimisation benefits.

A Testamentary Trust Will is a type of Will that establishes a Trust or Trusts upon the death of the will maker. This kind of Will is designed to protect the will makers assets as they will belong to the beneficiaries’ Trust rather than the individual. This enables flexibility for how capital and income generated by those assets is distributed. The Trust only becomes active once the will maker is deceased. The Trustees who decide how the income is distributed can also be beneficiaries of the Trust. However, the Trustees must act in accordance with the provisions set out in the Will regarding how the Trust is to be managed.

There are two commonly utilised types of Testamentary Trusts:

Discretionary Testamentary Trusts

• where the Executor gives the beneficiary the option to take part or all of their inheritance via a Testamentary Trust. The primary beneficiary has the power to remove and appoint the trustee and they can appoint themselves to manage their inheritance inside the Trust.

Protective Testamentary Trusts

• where a Beneficiary must take their inheritance via the Trust and does not have the option to appoint or remove trustees. This is useful where the beneficiary is not in a position to responsibly manage their inheritance due to age, disability or spendthrift tendencies and is often used when parents are leaving assets to their underage children.

The potential advantages of Testamentary Trusts include:

• Asset Protection for the beneficiaries in the event of marriage or relationship breakdown (if the Trust is utilised effectively);
• Asset Protection for vulnerable beneficiaries including spendthrift beneficiaries, disabled beneficiaries or beneficiaries with a drug, alcohol or gambling problem;
• Asset Protection for “at risk” professionals or beneficiaries who may face claims from creditors or bankruptcy;
• Protection of pension entitlements;
• Income splitting advantages e.g. adult children, minors and/or other relatives on low incomes;
• Income tax advantages for children under 18 (who are taxed at adult rates instead of penalty rates outside the Testamentary Trusts environment); and
• Flexibility for the Trustee to exercise discretion about management and investment of capital and to take account of changing needs of beneficiaries.
• Tax Advantages

If a beneficiary takes their inheritance in their personal name (via a Standard Will), they will pay tax on the income generated from their inheritance at their personal marginal tax rate.

There may be significant tax advantages in taking an inheritance through a Testamentary Trust, particularly where the beneficiary has:

• a high personal marginal tax rate
• a partner on a lower income
• children and/or grandchildren who are minors or who have no, or a lower taxable income
• a tax free threshold of $18,200 (all Australian residents)
• a tax free threshold of $20,542 (Australian residents who qualify for low-income offsets).

The Trustee or Trustees can choose to distribute the income generated by the Trust in a way that minimises the tax burden of the beneficiaries. Depending upon the assets held in the Trust, a Testamentary Trust can potentially save thousands of dollars over its lifetime.

We also strongly recommends that you seek independent accounting, financial, taxation, and legal advice, tailored to your specific objectives, financial situation, or needs, prior to making any investment decision.

How can we help?

If you have any questions or would like further information, please feel free to give our office on 08 9221 5522 or via email – info@camdenprofessionals.com.au , or arrange a time for a meeting so we can discuss your requirements in more detail.

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General Advice Warning

The material on this page and on this website has been prepared for general information purposes only and not as specific advice to any particular person. Any advice contained on this page and on this website is General Advice and does not take into account any person’s particular investment objectives, financial situation and particular needs.

Before making an investment decision based on this advice you should consider, with or without the assistance of a securities adviser, whether it is appropriate to your particular investment needs, objectives and financial circumstances. In addition, the examples provided on this page and on this website are for illustrative purposes only.

Although every effort has been made to verify the accuracy of the information contained on this page and on this website, Camden Professionals, its officers, representatives, employees, and agents disclaim all liability [except for any liability which by law cannot be excluded), for any error, inaccuracy in, or omission from the information contained in this website or any loss or damage suffered by any person directly or indirectly through relying on this information.

Time is everything when it comes to estate planning. Regardless of whether procrastination is your default mode, it’s essential to set aside any delaying tendencies and attend to your affairs promptly. By establishing a robust estate plan, you can lead a worry-free life, confident that your loved ones will be secure and comfortable in the face of unforeseen circumstances.

This article aims to highlight the advantages of estate planning. Our objective is to assist you in understanding the benefits of estate planning, providing a compelling reason to prioritise and initiate your plan without delay.

What is estate planning?

Estate planning is the process of arranging for the management and disposal of an individual’s assets, usually after their death, but it can also occur during their lifetime under certain circumstances, such as if the person is permanently incapacitated.

The process involves creating a comprehensive plan that outlines how assets will be distributed, who will be responsible for managing the estate, and how potential taxes and expenses will be addressed.

The key objectives of estate planning include asset protection, minimising tax liabilities, providing for loved ones, retaining any social security entitlements and preserving wealth for future generations of the family. However, although you can start accessing some of your super once you reach your preservation age, you won’t have full access to your super until you’ve also met a condition of release.

What are the key components of an estate plan

A well-structured estate plan typically comprises several key components. These include:

• Will: this outlines the distribution of estate assets after an individual’s death and appoints an executor who is responsible for administering the estate according to the terms laid out in the will
• Power of attorney: allows an individual to appoint someone they trust to manage their financial and legal affairs. An Enduring Power of Attorney is a special type of Power of Attorney that continues to operate when the person appointing them becomes incapacitated or unable to make decisions for themselves
• Enduring Guardianship: an Enduring Guardian is someone you appoint to make decisions about your health and lifestyle (as opposed to your legal and financial decisions, which are to be made by an Enduring Attorney). An Enduring Power of Guardianship will usually operate when the person appointing them is unable to make lifestyle and health decisions for themselves
• Advance care directive: also known as a living will, this allows individuals to express their wishes regarding medical treatment and end-of-life care in the event that they are unable to communicate those wishes in the future
• Trusts: a structure where a trustee (individual or company) administers assets for the benefit of designated beneficiaries, which are then given to the beneficiaries at a pre-determined later date. For example, a trust may be set up for a child but is only payable upon their 21st birthday. Trusts can be used to minimise taxes and protect assets
• Super: allocation of funds from your super is a vital component of estate planning in Australia, given the typically large sum of money involved. Addressing this as part of your estate planning ensures that the funds accumulated in your super account are distributed according to your wishes, and also in the most tax-efficient manner. You can nominate eligible beneficiaries to receive their superannuation death benefits. It is essential to review and update these nominations regularly to ensure they align with any change in your personal circumstances, such as marriage, divorce, or the birth of a child, and to ensure they remain valid and do not lapse
• Guardianship of minor children: for individuals with dependent children, naming a guardian can assist to ensure the children are cared for if both parents pass away This is usually done by a clause in each parent’s Will.

What are the legal considerations for estate planning

When creating an estate plan in Australia, it is essential to consider the following legal aspects:

• Validity: all estate planning documents must meet the legal requirements to be considered valid. It is advisable to seek legal advice to ensure compliance with relevant legislation, such as the Succession Act or Wills Act in each state or territory.
• Tax implications: estate planning involves considering the tax consequences of transferring assets to beneficiaries. It is crucial to understand the impact of capital gains tax, stamp duty, and income tax when making decisions regarding asset distribution
• Family law considerations: estate planning can be affected by family law matters, such as divorce or separation. You should consider how these factors may influence your estate plan and seek legal advice if necessary
• Capacity: to create a valid will, individuals must have capacity, meaning they must be of sound mind and understand the implications of their decisions. It’s important to ensure that the will is created when the person is in good mental health to avoid potential challenges in the future.

Always seek professional guidance on estate planning

Given the complexity and legal considerations involved, it is highly recommended to seek professional guidance when creating an estate plan in Australia.

Estate planning professionals, such as estate lawyers, financial advisers, and accountants, can provide expert advice tailored to individual circumstances. They can assist in:

• Structuring the estate plan
• Navigating tax implications
• Ensuring compliance with legal requirements
• Addressing any specific concerns or goals
• Explore various strategies to protect assets
• Minimise tax liabilities
• Maximise the benefits for beneficiaries. This may include setting up testamentary trusts, establishing charitable bequests, or utilising superannuation strategies.

Regularly review and update your estate plan

Estate planning is not a one-time set-and-forget task but rather an ongoing process. It is vital to review and update the estate plan regularly, especially in the event of significant life events such as marriage, divorce, birth of children, or changes in financial circumstances.

Regular reviews ensure that the estate plan remains relevant, aligns with current objectives, and reflects any changes in laws or regulations.

Estate planning checklist

First, gather essential documents. These should include:

• Will: your last will and testament will specify how you want your assets to be distributed after your death
• Super death benefits nomination: collect documents related to your super account, including any insurance policies and your previous death benefits nomination
• Trust documents: if you are a beneficiary, trustee, or appointor under a family trust, gather the trust agreement and any related documents.
• Enduring Power of attorney: an enduring power of attorney appoints one or more persons to make financial and legal decisions on your behalf if you become incapacitated
• Enduring Power of Guardianship: an enduring power of guardianship appoints one or more people to make lifestyle and health decisions on your behalf if you become unable to do so
• Healthcare directive: an advance care directive (also known as a living will) outlines your medical wishes. Your Enduring Guardian can express your wishes relating to your healthcare on your behalf in the event that you are incapable of expressing them yourself. If you have not appointed an Enduring Guardian, you can nominate responsible persons in your advanced care directive to give effect to your wishes
• Insurance policies: collect documents related to life insurance, disability insurance, and critical illness insurance.

Then, make a list of assets, such as:

• Bank accounts: list all your bank accounts, including checking, savings, and investment accounts
• Real estate: keep records of any properties you own, including homes, land, or rental properties
• Investments: list your stocks, bonds, mutual funds, and other investment holdings.
• Super accounts: note your super fund details and any other retirement accounts
• Personal property: include valuable possessions such as vehicles, jewellery, artwork, and collectibles.

Next, decide who you want to inherit your assets. Consider immediate family members, relatives, friends, and charitable organisations. Specify the percentage or specific assets you want each beneficiary to receive.

If you have young children, designate a guardian to care for them if you pass away.

Bottom line: estate planning in Australia is a multifaceted process that requires careful consideration of various legal, financial, and personal factors. A comprehensive estate plan is one way to see that your assets are distributed according to your wishes, whilst minimising tax implications and giving yourself peace of mind, knowing that your loved ones will be provided for long after you’re gone.

How can we help?

If you have any questions or would like further information, please feel free to give our office on 08 9221 5522 or via email – info@camdenprofessionals.com.au , or arrange a time for a meeting so we can discuss your requirements in more detail.

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General Advice Warning

The material on this page and on this website has been prepared for general information purposes only and not as specific advice to any particular person. Any advice contained on this page and on this website is General Advice and does not take into account any person’s particular investment objectives, financial situation and particular needs.

Before making an investment decision based on this advice you should consider, with or without the assistance of a securities adviser, whether it is appropriate to your particular investment needs, objectives and financial circumstances. In addition, the examples provided on this page and on this website are for illustrative purposes only.

Although every effort has been made to verify the accuracy of the information contained on this page and on this website, Camden Professionals, its officers, representatives, employees, and agents disclaim all liability [except for any liability which by law cannot be excluded), for any error, inaccuracy in, or omission from the information contained in this website or any loss or damage suffered by any person directly or indirectly through relying on this information.

As we kick off 2024 and wade through the financial scene, it’s time to set goals for our money resolutions. Personally, I’m all about setting and hitting goals, but let’s be real – not everyone can pull it off without the right setup and support. There’s nothing more frustrating than reaching the end of the year and realising that all the plans you made got tossed aside.

But guess what? This year, we’re turning it around. We’re setting money goals that are not just doable but will also make this your best year yet.

Before we jump into the nitty-gritty of these resolutions, let’s give a nod to the economic challenges we’ve been dealing with and are still grappling with. The shadow of the inflation crisis from previous years is still hanging over us as we step into the new year. According to the Reserve Bank of Australia (RBA), they’re not expecting to hit the midpoint of their inflation target until 2026. Tough times, but we’re gearing up to tackle it head-on. With this in mind, let’s break down the five money resolutions that can pave the way for your financial success in 2024 and put you in the position to have your best year yet.

1. Take pressure off yourself – Set short term goals

It’s common to take on the burden of financial challenges and start blaming ourselves when we fall short of certain expectations. Yet, in the face of a cost-of-living crisis, it’s vital to change how we view things.

Remember, you’re not alone; plenty of others are facing similar challenges. Instead of blaming yourself, shift your mindset to proactive problem-solving. Reach out for support, educate yourself on financial literacy, and make decisions based on knowledge.

Recognising external factors can lighten the load and allow you to approach your financial journey with a healthier perspective. Your financial history doesn’t define your ability with money, so don’t be too hard on yourself.

Short-Term Goals

A short-term financial objective is a financial goal that you want to achieve within a relatively short period, typically within one year. These objectives can be singular goals or incremental steps to larger financial goals. Some common short-term financial goals include setting a budget, starting an emergency fund, paying off debt, and saving for personal goods or experiences.

To identify and set short-term financial objectives for the new year, you can follow these steps:

Define Your Goals: Determine what you want to achieve in the short term, such as paying off credit card debt, building an emergency fund, saving for a vacation, or making a major purchase.

Set Specific and Measurable Objectives: Establish clear and achievable financial goals, such as saving a specific amount of money each month or paying off a certain amount of debt by the end of the year.

Create a Budget: Develop a budget that aligns with your short-term objectives, ensuring that your income covers your expenses and allows you to make progress toward your goals.

Track Your Progress: Regularly monitor your finances to see how you are progressing toward your short-term objectives. Adjust your budget and spending as needed to stay on track.

2. Spend less

In a world filled with enticing advertisements and pressure to keep up with the latest trends, reining in your spending is a fundamental resolution. Understand that every dollar saved today contributes to being more financially secure tomorrow.

Consider creating a budget, differentiating between needs and wants, and finding ways to cut unnecessary expenses. Be mindful of your financial goals, and let them guide your spending choices  and be aware of how other people’s financial goals might be impacting yours.

3. Save more

In times of uncertainty, a resilient emergency fund serves as your financial safety net, becoming even more crucial than ever.

Ensure the presence of a sufficient cushion to address unforeseen expenses or potential job loss. Take advantage of the current higher interest rates by exploring savings accounts that offer more favorable returns. While these elevated interest rates may have posed challenges for mortgages, they have proven advantageous for our savings accounts.

This year, I’ve observed high-interest savings accounts with rates ranging between 4 and 5.70 percent. Enhance the productivity of your money by optimizing your existing savings strategy. Consider automating your savings process to maintain consistency and foster discipline in fortifying your financial safety net.

4. Get your personal insurances in order

As we face an undoubtedly challenging year ahead, ensuring the stability of your income ranks among the most crucial steps you can take. It’s perplexing to think that people invest in insurance for their cars but often neglect to safeguard their income, despite the fact that we rely on income to replace a damaged vehicle.

Life and personal insurance can serve as a protective shield in the event of job loss, life-altering illnesses, or unfortunate accidents. These policies create a financial safety net for your family, offering peace of mind during tumultuous times. Make it a priority to commit to this resolution in order to protect both your financial well-being and that of your loved ones – it’s a step that can significantly enhance your peace of mind.

5. Schedule a monthly check in

Regular monitoring and adjustment play a pivotal role in achieving financial success. Mark a monthly date on your calendar to assess your financial progress, whether individually or with your partner. This routine check-in enables you to track accomplishments, pinpoint areas for improvement, and uphold accountability to your goals.

The lack of planning has hindered many in the past, but a dedicated monthly review ensures that you stay on course and make necessary adjustments as needed. Consistently checking in allows you to pause, reflect, and redirect if a goal isn’t progressing as anticipated.

This is the year for you to transform your financial habits, and by embracing these five money resolutions, you’ll not only navigate the challenges of the current economic landscape but also lay the groundwork for a secure and successful future – irrespective of your starting point.

Remember, it’s not about making grand gestures; it’s about taking consistent, intentional steps that will guide you toward financial well-being.

6. Get reacquainted with your credit score

Enter the new year knowing what lenders see when they look at your financial profile — and avoid potential future headaches. You have a right to obtain a copy of your credit report for free every three months from reporting agencies Experian, illion, and Equifax.

Make sure to check the report carefully for any inaccuracies.

Money Smart suggests checking that:

• All the loans and debts listed are yours
• Details such as your name and date of birth are correct

If you do find an error, you can contact the agency and ask them to fix it. This is a free service.

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General Advice Warning

The material on this page and on this website has been prepared for general information purposes only and not as specific advice to any particular person. Any advice contained on this page and on this website is General Advice and does not take into account any person’s particular investment objectives, financial situation and particular needs.

Before making an investment decision based on this advice you should consider, with or without the assistance of a securities adviser, whether it is appropriate to your particular investment needs, objectives and financial circumstances. In addition, the examples provided on this page and on this website are for illustrative purposes only.

Although every effort has been made to verify the accuracy of the information contained on this page and on this website, Camden Professionals, its officers, representatives, employees, and agents disclaim all liability [except for any liability which by law cannot be excluded), for any error, inaccuracy in, or omission from the information contained in this website or any loss or damage suffered by any person directly or indirectly through relying on this information.

Accountants have been trained in BAS compliance. As a business owner the registered BAS agent knows how to capture all your expenses. They know what expenses include GST and, in many cases, capture much more GST than a business owner with little BAS experience. Many small business owners often do not use the correct codes which may result in an overpayment to the ATO. Accountants ensure that your lodgement details are compliant and that you are able to maximise your deductions.

Professional BAS/ Accountants agents can get you a lodgement and payment extension.

If you lodge your BAS yourself, you will need to lodge and pay by the 28th of April for the March Quarter. However, if a registered BAS agent lodges your BAS, you can lodge and usually pay 4 weeks after this. Effectively, you have almost two months to gather data  together, lodge and pay, which is more money in your bank account, earning interest, than in the ATO’s.

Tips for lodging BAS

Keeping good records helps you stay on top of your business .When completing your next business activity statement (BAS), remember:

• Keep accurate and complete records of all sales, fees, expenses, wages and other business costs.
• Only lodge one BAS for each period. If your form has been replaced, you should use the replacement form and not the original.
• Only complete fields that apply to you. If you have nothing to report, enter zero.
• Make sure that you have entered the figures for your obligations at the correct label.

Remember, if you’ve made a mistake, you can revise or fix the mistake on your next BAS.

BAS and GST record keeping tips

• Keep records of all sales, fees, expenses, wages and other business costs
• Keep appropriate records, such as stocktake records and logbooks to substantiate motor vehicle claims
• Reconcile sales with bank statements
• Use the correct GST accounting method. An accountant can advise you as to which method is better for your business
• Retain all your tax invoices and other GST records for five years.
• Use an accounting software program like Xero or MYOB

GST credits – How to claim

Only claim GST credits on the business portion of purchases, and     don’t claim GST on private expenses, such as food or entertainment. If an item is for business and personal use, only claim the business portion.

Use the discounted price when claiming GST credits for discounted purchases, even if the discount doesn’t appear on the invoice. Claim GST credits up front for purchases under hire purchase agreements (entered into on or after 1 July 2012) – if you account for GST on a cash basis. Claim GST credits on the Australian dollar value when claiming invoices in a foreign currency.

If your business changes or ceases you may need to repay some GST credits for business assets you decide to keep.

When you can claim a GST credit

This may be obvious, but there are some rules you must observe.

• You must be registered for GST to claim GST credits
• You can claim a credit for any GST included in the price you pay for things you use in your business. This is called an input tax credit, or a GST credit.
• You claim GST credits in your business activity statement.

You can claim GST credits if the following conditions apply:

• You intend to use your purchase solely or partly for your business, and the purchase does not relate to making input-taxed supplies.
• The purchase price included GST.
• You provide or are liable to provide payment for the item you purchased.
• You have a tax invoice from your supplier (for purchases more than A$82.50)
• A four-year time limit applies for claiming GST credits.

When claiming GST credits, make sure your suppliers are registered for GST. You can check the GST registration status of an entity by searching the ABN Lookup site.

If you need assistance with your BAS lodgement, please call our office and we can assist you.

If you are thinking about changing your accountant or your are at the stage where your business has grown, why not take up our exclusive free 15 -minute complementary consultation service. If you have a question, you would like answered, reach out to us today. Our team is looking forward to hearing from you

EXCLUSIVE OFFER

We are offering an exclusive $150 Camden Professionals credit to small business owners if you decide to bring your small business accounting services to us. **

** Note this offer excludes the preparation of Individual Tax Returns and is valid for 2 months. Offer expires on 17 April 2022

Book your complimentary consultation here.

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General Advice Warning

The material on this page and on this website has been prepared for general information purposes only and not as specific advice to any particular person. Any advice contained on this page and on this website is General Advice and does not take into account any person’s particular investment objectives, financial situation and particular needs.

Before making an investment decision based on this advice you should consider, with or without the assistance of a securities adviser, whether it is appropriate to your particular investment needs, objectives and financial circumstances. In addition, the examples provided on this page and on this website are for illustrative purposes only.

Although every effort has been made to verify the accuracy of the information contained on this page and on this website, Camden Professionals, its officers, representatives, employees, and agents disclaim all liability [except for any liability which by law cannot be excluded), for any error, inaccuracy in, or omission from the information contained in this website or any loss or damage suffered by any person directly or indirectly through relying on this information.

There are a lot of changes proposed for Superannuation in 2022. Thanks to constant changes in super rules, it’s all too easy to miss out on an opportunity you didn’t know existed, or to be unaware of an upcoming change. Super provides the opportunity to grow your retirement savings while reaping tax benefits along the way

What we know as at February 2022. – Great news for retirees

The key superannuation changes that were proposed in the 2021 Federal Budget have now been passed into law. These changes will impact retirees as well as many people who are approaching retirement.

These changes include:

• the removal of the work test requirement for non-concessional super contributions for people aged between 67 and 75
• the extension of eligibility for individuals under 75 to make non-concessional contributions using the “bring-forward” rules.
• Eligibility to make downsizer super contributions has also been extended to those aged 60 or more (previously age 65).

1. Work Test Rules

The work test no longer needs to be met by individuals aged 67-75 when making salary sacrifice contributions and personal non-concessional contributions to super. However, the test still needs to be met to claim a tax deduction for personal concessional contributions. Apart from the downsizing contribution, no non-concessional contributions can be made once a Total Superannuation Balance (TSB) reaches $1.7 million.

2. Concessional Contributions

Concessional contributions can be made irrespective of the TSB. The current contribution cap is $27,500 a year. This includes super from all sources, including the compulsory employer contributions. If you didn’t use the full $25,000 concessional contributions cap during 2018-19, 2019-20 or 2020-21, any unused cap amounts can be contributed this financial year, potentially providing  you with a larger deduction and tax saving.

For instance, if your concessional contributions were $18,000, $20,000 and $22,000 in each of the last three financial years, then you’ve got an additional $15,000 ($7000 + $5000 + $3000) to play with this financial year and you (or your employer) can contribute up to $42,500 provided your TSB at June 30, 2021 was less than $500,000.

If you don’t use the unused cap amounts before June 30, 2022, all is not lost as you can carry them forward on a rolling five-year basis. In the above example, $7000 can be carried forward until 2023-24, $5000 until 2024-25 and $3000 until 2025-26, provided that in the year you wish to apply them your TSB at the previous 30 June is less than $500,000 – and, of course, you’re eligible to contribute.

3. Changes to Bring Forward Rules

There is no tapering of the bring-forward rule for those approaching age 75. This means that if a person’s age is less than 75 before July 1 – and they meet the eligibility criteria, including that which relates to the TSB – then the bring-forward rule may be triggered. It could enable a person to put up to $330,000 into their super, provided the bring-forward rule has not been used in the previous three years. Contributions would need to be received no later than 28 days after the month the person turns 75.

4. Downsizing Super Contributions

Currently, to make a downsizer contribution after the disposal of a property that was your home (which you or your spouse owned for at least 10 years) you must be aged 65 or more at the time of the contribution. The strategy allows you to boost your super by up to $300,000 even if you’re otherwise ineligible to contribute due to age, work status or TSB. From July 1, the minimum age is to be reduced to 60.

The ability to make a downsizer contribution at age 60 has significant benefits: It could enable people with high super balances to put another $300,000 each into super because the $1.7 million limit on non-concessional contributions does not apply to downsizer contributions. It would also assist people to maximise the amount they can have in super from the sale of their home.

General

The ability to withdraw money from super and then re-contribute it as a non-concessional contribution can be a useful tool in reducing the death tax – paid on any death benefit lump sums received by non-dependent adult children – as it could convert a portion of the taxable component of a super fund to the tax-free component. If there is a substantial imbalance in the super accounts of a couple, one partner could also withdraw, say, $330,000 and contribute it to their partner’s super, as long as the partner’s super does not exceed $1.7 million

Example: A couple could make total contributions of $630,000 each from the proceeds of the sale of a property. The first contribution would be $330,000, using the bring-forward rule, and the second the downsizer contribution of $300,000. This is where the importance of seeking professional financial advice is crucial because the terms of a property’s sale may have to be tailored to maximise super contributions.

5. Impacts on Capital Gains Tax

In some cases, Tax-deductible concessional super contributions can be used to reduce Capital Gains Tax (CGT). This is relevant if a person has less than $500,000 in super at the end of the previous financial year and either had not been maximising their concessional contributions or because they had been out of the workforce for several years. It is possible that as much as $100,000 could be contributed to super using the catch-up concessional contribution strategy. This could significantly reduce CGT on the sale of an asset.

6. Super Assessment & Centrelink

Given that money in super is not assessed by Centrelink until the holder reaches pensionable age – or starts an income stream from their super fund – the ability to contribute large chunks of money to super can be highly effective, especially if there is an age difference between the members of a couple. By holding the super in the younger person’s name, the senior partner may qualify for a part-age pension.

Spouse contributions

The age limit for spouse contributions is now 74, but the receiving spouse must meet the work test or work test exemption from age 67. A spouse contribution may give you the ability to claim a 18% tax offset of up to $540 by a contribution of $3,000 provided your spouse’s income and super contributions are less than $37,000. Boosting your spouse’s super while obtaining a tax benefit in the process is a win-win situation.

7. Proposed Changes to Start 1 July 2022

There are also a number of proposed changes that due t start on July 1, 2022. Note that we have summarised them here and will update after the Federal Budget announcement in March 2022.

A. Legacy product conversion of market-linked, life-expectancy and lifetime pension and annuity products

A planned two-year period will be provided for conversion of market-linked, life-expectancy and lifetime pension and annuity products. Importantly, it will not be compulsory for individuals to take part in.

Retirees with these products who choose to will be able completely exit these products by fully commuting the product and transferring the underlying capital, including any reserves, back into a superannuation fund account in the accumulation phase. From there they can decide to commence a new retirement product, take a lump sum benefit, or retain the funds in that account. Any commuted reserves will not be counted towards an individual’s concessional contribution cap and will not trigger excess contributions. Instead, they will be taxed as an assessable contribution of the fund (with a 15% tax rate), recognising the prior concessional tax treatment received when the reserve was accumulated and held to pay a pension.

Products covered: Market-linked, life-expectancy and lifetime products which were first commenced prior to 20 September 2007 from any provider, including self-managed superannuation funds (SMSFs).

Products not covered: Flexi-pension products offered by any provider, and lifetime products offered by a large APRA-regulated defined benefit scheme or public sector defined benefit scheme, will not be included.

 B. Pension Loan Scheme

The flexibility of the Pension Loans Scheme is being improved by the proposition of the provision of access to advance payments. Participants will be able to access up to 26 fortnights’ worth of top-up payments as a lump sum. This measure will provide immediate access to lump sums of around $12,385 for singles, and $18,670 for couples.

A “No Negative Equity Guarantee” will also be introduced which means borrowers under the Pension Loan Scheme, or their estate, will not owe more than the market value of their property, in the rare circumstances that their accrued Pension Loan Scheme debt exceeds their property value. This brings the Pension Loan Scheme in line with private sector reverse mortgages.

 C. $450 monthly income threshold for mandatory employer contributions removed

The current $450 monthly income threshold prevents an estimated 300,000 low paid workers, 63% of whom are female, from receiving mandatory employer super contributions (superannuation guarantee contributions). The budget measures intend to remove this threshold and will ensure this group of workers are paid super. If you’re still working, even if for limited hours, this could mean more retirement savings.

Please contact our office for further information.

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General Advice Warning

The material on this page and on this website has been prepared for general information purposes only and not as specific advice to any particular person. Any advice contained on this page and on this website is General Advice and does not take into account any person’s particular investment objectives, financial situation and particular needs.

Before making an investment decision based on this advice you should consider, with or without the assistance of a securities adviser, whether it is appropriate to your particular investment needs, objectives and financial circumstances. In addition, the examples provided on this page and on this website are for illustrative purposes only.

Although every effort has been made to verify the accuracy of the information contained on this page and on this website, Camden Professionals, its officers, representatives, employees, and agents disclaim all liability [except for any liability which by law cannot be excluded), for any error, inaccuracy in, or omission from the information contained in this website or any loss or damage suffered by any person directly or indirectly through relying on this information.

Choosing an accountant is like choosing a new business partner. The right accountant will become a trusted colleague and advisor you can depend on, who offers advice and guidance as your business or personal investments grow.

Once you’ve decided it’s time to hire an accountant, the next step is to choose which accountant to hire. What are the key things you need to look out for? We have listed some of the important factors you should consider when choosing an accountant.

1. Take time to research and work out your need

It’s important to take the time to do this carefully, and there are a few things you’ll want to consider first. You’ll need to think about issues such as the accountant’s location, the workload,whether they are certified tax practitioners, licensed tax agents, the type  of experence they have and how much you’ll have to pay to engage their services, and whether they can help to reduce your taxes and protect your assets. The right person will save you time and money year after year.

2. Look for an accountant with relevant expertise

You’ll need someone with experience preparing tax returns and financial documents for companies of a similar size and revenue to yours. If your company uses cloud-based software for much of its business, you’ll probably want someone who’s savvy with cloud computing. Property tax accounting and asset protection is a specialist service that only as select accountants practice in. If you are a property investor or hold properties within your business portfolio, it is vital that you choose an accountant who can advise you on the proper structures to purchase and hold your property in.

3. Decide how the accounting work will be divided

Accountants handle every aspect of bookkeeping and small business accounting. In most cases, you can bundle up your bills and invoices, hand them all over, and they can do the rest. But this might not always be the best approach.

Accountants often charge by the hour, so making them do simple data-entry tasks is not the best use of their time – time that you’re paying for. If you are able to take charge and get more involved in the accounting process, this will give you a better grasp of  your expenses and revenues in real time and a heads-up on potential problems.

For example, you might choose to enter the basic accounts data in-house, then hand the work over to your accountant. Then they can handle the more involved tasks such as bank account reconciliation, filling out tax return forms, payroll and capital depreciation calculations.

Use cloud-based software

Good quality accounting software will make it easy for you to take part in your accounting process. It will simplify tasks like invoicing, automatically sending the invoice and recording its contents at the same time. And if the accounting software is cloud-based, you can then give your accountant secure access to your accounts with the click of a button.

4. Shortlist your candidates for Interview

As with anything else in life, don’t automatically accept the first offer you receive. Arrange things in such a way that you can compare a selection of accountants with each other. Then it will be easier to determine which one is best for you or your business. An interview or discussion can be a powerful way to see how well you’re likely to be able to work with a person.

Many people change their accountants because they simply realise that their accountant didn’t provide them with the best advice for their circumstances. This may even help you determine your own business requirements more clearly.

When you meet an accountant for the first time, consider your intuition. Alongside logical evaluations such as location, pricing, experience and references, ask yourself if you could trust this person with the intimate details of your business. If you think you could work with them for the foreseeable future then that’s great start to a working relationship.

5. Understand how their fee structure works

There’s no single, universal method that accountants use to charge by. Some will charge by the hour or based on the service you are seeking. In many cases, if you are a small business, you should find out if your accountant offers a monthly retainer. As a small business owner, negotiation should already be part of your skill-set.

Make sure you get written quotations from all the accountants you interview, then go away and compare them carefully. Consider a range of scenarios – one fee structure may make sense while your business is small, but could become less attractive as it grows. Always negotiate on fees.

At the end of the day, you are looking for a long term relationship with someone, so they should be proactive with your tax planning and reasonably priced. You are looking for someone who will be there for you through all financial steps to guide you in the right direction.

Some accountants will do little more than manage your accounts and complete your tax return forms, but the best accountants are more proactive. Always bear in mind that there is a big difference between tax minimisation (usually legal) and tax avoidance /evasion (usually illegal). You need an accountant who knows the details of tax law so well that they’ll save you money in legal ways, but not one who takes things too far and risks causing your business to operate illegally.

6. Tap into your social networks – Ask for recommendations

When searching for an accountant, the ideal candidate might be easier to find than you think. Start by asking any friends or family members if they would recommend their accountant. If so, why? And if not, why not? The answers to both questions could prove useful at a later stage when you come to talking to prospective candidates. Choosing an accountant can be a personal decision, so what’s right for your friends or colleagues  business might not suit your individual needs. Search your prospective accountants Google Review to discover what client has posted.

If you operate a business, take into account your business structure. The best accountant for a sole trader might not be the best fit for a company with ten employees. Use your own social networks. LinkedIn is one of the largest globally, and if you already have a profile there, you could use it to search for accountants who’ve been recommended by others.

When looking at the accountants LinkedIn profile consider some of the following:

• Who are they connected to? Do they have a strong network of professional people?
• How do they talk about their services? Are they enthusiastic and interested in their work?
• Have they received any recommendations from their clients? What do those recommendations actually say?
• What is their experience? How long have they been in business, and what were they doing before?
• What are their qualifications? Are they a chartered or certified accountant, a bookkeeper, a financial advisor or something else?

Finally, you should choose an accountant who will help you navigate through often complex taxation issues, help your business grow by managing complex financial work and offering advice on practical business issues. This will be guaranteed to save you money in the short and long term.

Exclusive Offer

If you are thinking about changing your accountant or your are at the stage where your business has grown, why not take up our exclusive free 15 -minute complementary consultation service. If you have a question, you would like answered, reach out to us today. Our team is looking forward to hearing from you

We are offering an exclusive $150 Camden Professionals credit to small business owners if you decide to bring your small business accounting services to us. **

** Note this offer excludes the preparation of Individual Tax Returns and is valid for 2 months. Offer expires on 17 April 2022

Book your complimentary consultation here.

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General Advice Warning

The material on this page and on this website has been prepared for general information purposes only and not as specific advice to any particular person. Any advice contained on this page and on this website is General Advice and does not take into account any person’s particular investment objectives, financial situation and particular needs.

Before making an investment decision based on this advice you should consider, with or without the assistance of a securities adviser, whether it is appropriate to your particular investment needs, objectives and financial circumstances. In addition, the examples provided on this page and on this website are for illustrative purposes only.

Although every effort has been made to verify the accuracy of the information contained on this page and on this website, Camden Professionals, its officers, representatives, employees, and agents disclaim all liability [except for any liability which by law cannot be excluded), for any error, inaccuracy in, or omission from the information contained in this website or any loss or damage suffered by any person directly or indirectly through relying on this information.

Are financial advisers’ worth it? Deciding whether to get a financial adviser or manage your own investments is a big decision. Not everyone needs an ongoing relationship with a financial planner or adviser.

Financial advisers are professionals who can help you plan and manage bigger financial decisions. Financial advice can be useful at turning points in your life, like when you’re starting a family, being retrenched, planning for retirement or managing an inheritance.

When you meet with an adviser for the first time, it’s important to work out what you want to get from the advice. An adviser should take the time to discuss what’s important to you and ask about your short- and long-term goals before they make any recommendations. We have curated a short list why you should consider using a Financial Adviser.

1. Helping you set and achieve your goals

Giving an adviser accurate information about your situation allows them to tailor the advice to best meet your goals and objectives, for example you may want to:

• Retire by age 65 with the lifestyle you’re currently used to
• Save for your children’s education while at the same time, pay off your mortgage by a certain year
• Have enough assets and insurance so that your family is financially protected in case you aren’t able to work
• Make sure your investment strategies are more tax effective
• Take control of your investments and super so you can create wealth according to own preferences
• Understand if you’re on track to reach your financial objectives, and see if you need to make some adjustment

By giving your financial adviser information about your financial situation will allow you to get an accurate picture of your financial health.

When you meet with a financial adviser you will be asked to provide the following information about your:

• personal situation: such as your age, where you work and whether you’re in a relationship
• financials: what you own, what you owe, sources of income, and ongoing and planned expenses
• insurance policies like life and medical cover
• estate plans, such as a will or power of attorney

2. Save time and money when researching

There is abundant investment information on the Internet, but too much information is not necessarily a good thing. How do you determine what information is good? Do you have the time or the background knowledge to sift through this vast amount of material?

A good financial adviser can do all the heavy lifting for you, so you can spend more time doing what is most important to you—living life. Working with a financial adviser can help assist you to find which financial strategies are appropriate for you. A trusted adviser can advise you on the strategies that suit your circumstances, reduce financial stress and drive you towards those goals.

3. Accountability & Trustworthy Advice

How many times have you planned with the intention of sticking to it, but then failed to follow through? It is much easier to lose momentum when you are doing something complicated by yourself. It is therefore beneficial to have an impartial third party available to hold you accountable. Your finances are no exception. A trusted financial adviser can be that impartial third party you need to help you stay on track.

One of the biggest concerns people mention about financial advisers is trust. The strategy and investments chosen for you are less important than the trust you share. It’s trust that ensures you provide all the information the adviser needs to make the right recommendations. Trust that ensures you can stick with a long term strategy even when the short term market moves are unfavourable.

4. Preparing a Financial Plan that works for you – What you need to know

A financial planner at your first meeting should discuss how they work with you to develop your Personalised Financial Plan. If you do meet with a financial adviser, you should clarify the following to know what your adviser is offering

At the first meeting make sure you discuss:

• the scope of the advice (what is and isn’t included)
• the cost and your options for paying
• what information they’ll give you and how often
• when they’ll consult you and when they’ll need your permission?
• how they are able to manage your accounts and strategies
• how often you’ll meet to review your financial plan’s progress

An adviser will seek to understand how much risk you’re prepared to accept to reach your goals. This will help them recommend suitable investments for you. Ask the adviser to explain anything you don’t understand. You should always feel comfortable with your adviser and their advice.

Once you’ve agreed to go ahead, your financial adviser will prepare a financial plan for you. This will be presented to you at another meeting in a document called a Statement of Advice (SOA). Only when you comfortably understand and agree with the advice and associated risks, you can choose to proceed with some or all of the recommendations.

5. Tax Planning

One of the most important (and often overlooked) factors in successful investing is proper tax planning. A financial adviser can structure your investments in appropriate ways so that are more tax effective. They can also guide you through complex tax strategies that you should not attempt on your own. Trusted advisers will also help you minimise tax. Choosing a financial adviser who works closely with your accountant is a distinct advantage as your accountant can liaise with your financial adviser to provide updated financial information.

6. Market Experience

Often many people who have initially attempted to create their own financial plans reach out to financial advisers, when things have gone wrong. Experience really is the best teacher. A good financial adviser has weathered the ups and downs of the market and other various investment vehicles, time and time again. They have also seen people who go it alone.

An experienced adviser will be able to discuss your wishes and provide insight and guidance that you simply cannot get when you go it alone. Relying on a trusted financial adviser can also help you avoid generalised investment advice and schemes that may not fit your specific needs.

7. Understanding Market Fluctuations and Regulatory Changes

A financial adviser can also be highly skilled when it comes to addressing market fluctuations and regulatory changes that can affect your long term financial strategies. Thus, they can be well-equipped with the tools and strategies you need to keep your strategy on track. It is not feasible to try to time the market, and a good adviser will remind you that jumping in and out of the market is extremely risky. Historically, most who attempt to time the market will miss the high points, thus receiving a reduced return on their investments.

Part of a professional financial adviser’s role is to constantly keep abreast of market and regulatory changes. A trusted adviser will help you stay up to speed on market conditions so you can make better decisions. Regulatory changes include Government’s ongoing amendments to already complicated superannuation laws.

Your financial adviser can address how regulatory changes such as these can affect your situation and strategies, and provide personal recommendations to take full advantage of them.

Speak to our office today if you wish to discuss whether you can benefit from engaging a financial adviser.

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General Advice Warning

The material on this page and on this website has been prepared for general information purposes only and not as specific advice to any particular person. Any advice contained on this page and on this website is General Advice and does not take into account any person’s particular investment objectives, financial situation and particular needs.

Before making an investment decision based on this advice you should consider, with or without the assistance of a securities adviser, whether it is appropriate to your particular investment needs, objectives and financial circumstances. In addition, the examples provided on this page and on this website are for illustrative purposes only.

Although every effort has been made to verify the accuracy of the information contained on this page and on this website, Camden Professionals, its officers, representatives, employees, and agents disclaim all liability [except for any liability which by law cannot be excluded), for any error, inaccuracy in, or omission from the information contained in this website or any loss or damage suffered by any person directly or indirectly through relying on this information.